The knockout stage of the 2018 World Cup is currently underway, and Invenire has been researching the financial and economic impact of the world cup. The FIFA World Cup is both the most expensive and the most lucrative of any football tournament in the world and has occurred every four years since 1930 when it was won by Uruguay. The only exceptions to this are the years 1942 and 1946; the tournament was cancelled as a result of World War II.
An estimate by Russian regional governments has placed the cost of renovating, restoring and constructing stadiums at a total sum of GBP2 million to GBP6 million. This includes building stadiums in cities that do not have any professional football teams, like the host city of the 2014 Winter Olympic Games, in Sochi. Further upkeep and operation of World Cup venues are expected to reach costs of over GBP24, 000, 000. For example, the city of Nizhny Novgorod wishes for Moscow to pay for the upkeep of the stadium for at least three years after the World Cup has finished.
During a meeting of Russia's Federation Council, regional officials proposed that Moscow should provide their respective local authorities with financial assistance. On the whole, Russian authorities place the total cost of the month-long tournament and nearly GBP 9, 000, 000, with 57.6% of this coming from the federal government.
Supporters of Russia's investment argue that nearly GBP 30, 000, 000, 000 will be added to Russia's national economy over the next decade. However, critics note that Brazil spent GBP 416 million on the Mane Garrincha Stadium and that, after the tournament, use of the stadium as a sporting facility was discontinued. Immediate revenue for the 2018 World Cup is expected to be around GBP4.5 billion. In October 2017, FIFA confirmed that there would be a total of USD 400, 000, 000 (GBP 302, 800, 000), with the tournament champions receiving USD 38, 000, 000 ( GBP 28, 766, 000).
The World Cup prize money pool is at its highest point in the history of the tournament, even when inflation is accounted for. Is this a sign of football introducing prosperity to the world, or a sign of increased corruption in the sport? Share your thoughts below.
An estimate by Russian regional governments has placed the cost of renovating, restoring and constructing stadiums at a total sum of GBP2 million to GBP6 million. This includes building stadiums in cities that do not have any professional football teams, like the host city of the 2014 Winter Olympic Games, in Sochi. Further upkeep and operation of World Cup venues are expected to reach costs of over GBP24, 000, 000. For example, the city of Nizhny Novgorod wishes for Moscow to pay for the upkeep of the stadium for at least three years after the World Cup has finished.
During a meeting of Russia's Federation Council, regional officials proposed that Moscow should provide their respective local authorities with financial assistance. On the whole, Russian authorities place the total cost of the month-long tournament and nearly GBP 9, 000, 000, with 57.6% of this coming from the federal government.
Supporters of Russia's investment argue that nearly GBP 30, 000, 000, 000 will be added to Russia's national economy over the next decade. However, critics note that Brazil spent GBP 416 million on the Mane Garrincha Stadium and that, after the tournament, use of the stadium as a sporting facility was discontinued. Immediate revenue for the 2018 World Cup is expected to be around GBP4.5 billion. In October 2017, FIFA confirmed that there would be a total of USD 400, 000, 000 (GBP 302, 800, 000), with the tournament champions receiving USD 38, 000, 000 ( GBP 28, 766, 000).
The World Cup prize money pool is at its highest point in the history of the tournament, even when inflation is accounted for. Is this a sign of football introducing prosperity to the world, or a sign of increased corruption in the sport? Share your thoughts below.
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